Bill > S04651

This bill establishes an economy-wide cap and invest program to reduce greenhouse gas emissions in New York State, designed to help the state meet its climate goals set by the Climate Leadership and Community Protection Act. The program creates a comprehensive system where the state sets a declining maximum limit (cap) on total greenhouse gas emissions and requires businesses and organizations (called "covered sources") to obtain allowances for their emissions through auctions or allocations. Key provisions include prioritizing emissions reductions in disadvantaged communities, setting specific emissions caps for different sectors and facilities, and creating a flexible market-based system where entities must submit allowances equal to their greenhouse gas emissions. The bill establishes detailed rules for allowance pricing, with both a minimum and maximum price, and allows for potential linkage with other regional greenhouse gas reduction programs. Notably, the program includes special provisions for energy-intensive and trade-exposed facilities (EITEs) to help them transition without causing economic harm, and mandates regular reviews to ensure the program is effectively reducing emissions. All revenues generated from allowance auctions will be deposited into the New York Climate Action Fund and must be used specifically to support climate mitigation and adaptation efforts.

Agriculture and Natural Resources

https://www.nysenate.gov/legislation/bills/2025/S4651